POWERED BY MOMENTUM MEDIA
FSC flags concerns with APRA data accuracy
The Financial Services Council has concerns about the accuracy of Australian Prudential Regulation Authority (APRA) data used for the performance test after the regulator reissued its MySuper heatmaps.
The 2022 MySuper heatmaps were re-issued by APRA today (24 February) after concerns about international index data for listed international equities, a staple of MySuper funds' allocations.
While it did not result in any changes to the funds identified as poor performance or significantly poor performance, the FSC was concerned about the quality of APRA’s data, particularly if the test was to be extended to Choice products.
The extension to Choice products had already been delayed once due to data inaccuracies.
FSC chief executive, Blake Briggs, said: “Today's disclosure that the heatmaps and performance assessment for MySuper products was incorrectly applied is concerning as it has the potential to harm consumers and distort competitive markets.
“The Government must ensure that super performance tests are run on accurate data as consumer harm and tax consequences could result from incorrect advice being given to super members.
“This development follows the deferral in the Choice heatmap at the end of last year because APRA was also unable to resolve inaccuracies with data collected under their new reporting requirements.
“The Government will need to tread carefully in resolving issues with data accuracies as they look to extend the MySuper performance test to Trustee Directed Products as the performance assessment reported this year would be based on unaudited data.”
AUTHOR
Laura Dew
Laura Dew is editor at Super Review. Prior to joining SR, she spent five years working at Investment Week in the UK covering asset and wealth management.
Recommended for you
Earlier this month, several Australian superannuation funds fell victim to credential stuffing attacks, which saw a small number of members lose more than $500,000.
Small to medium funds have become collateral damage in an “imperfect” model for super industry levies, a financial institution has said.
Big business has joined the chorus of opposition against the proposed Division 296 tax.
Future Group is set to take on nearly $1 billion in funds under management (FUM) and welcome more than 100,000 new members following two significant successor fund transfers.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
90.28 3 y p.a(%)
2
GAM LSA Private Shares AU I
37.08 3 y p.a(%)
3
DomaCom Lot 21 Chellaston Road Munno Para West SA 5115 Australia
31.44 3 y p.a(%)
4
Fidante Credit Suisse Global Private Equity
31.12 3 y p.a(%)
5
Global X GlobalX FANG+ ETF
28.28 3 y p.a(%)
